2635 Technology Forrest Drive Tax Abatement

7/29/2019 2635 Technology Forrest Drive Tax Abatement

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APPL ICAT ION FOR TA X ABATEMENTFOR

MONTGOMERYCOUNTY

[ C O N F I D E N T I A L I N F O R M A T I O N - Texas Property Tax Code, Chapter 312, Subchapter A, Sec. 312.003]

1. -Applicant(s): B r u k e r O p t i c s , I n c . a nd D r . D i r k L a u k i e n[Attach a financial statement of each Applicant showing financial capacity to complete the proposed project!.Applicant's Status: Individual: X Corporation: Partnership:MailinRAddress: 2635 N o r t h C r e s c e n t R i d g e D r i v eCity: The Woodl ands State T X Zip: 77381 t 2 b i ) ^ y 8 - ;333 "Telephone No:

2. Contact Person or Agent: F r e d E . C a s t i l l oMailing Address: 4840 W. P a n t h e r C r e e k D r i v e S u i t e 201City: The Woodl ands State. T X Zip: 77381 1281 )29S-/333Telephone No:

3. Name and Address as currently shown on Tax Roll B r u k e r O p t i c s , I n c Address: 2635 N o r t h C r e s c e n t R i d g e D r i v eCity: The Woodl ands State: TX Zip: 77381 (281 ) 2 y 8 - 7 3 3 5Telephone No:a) Is Applicant purchasing this property? Y es

Xb) Will tax abatement effect purchase? Yes

oc) What is the purchase price? $ NA

4. A ll property Owners having an interest in the Property, and their respective interests (except mineral and/or royaltyinterest only): [For corporate and partnership Applicants, attach full listing of names, addresses, and telephone numbersof officers, directors, shareholders and partners-l T h i s i s a c o - a p p l i c a t i o nA l l b e n e t i t s tr om t n e aDa te mem: ot t nMailing Address: b y B r u k e r O p t i c s , I n c . a s

e i : a x e s w i n p e p a s s e d t h r O t t y l ir e n a n t " D r . D i r k L a u k i e n a s "o w n er 'City: The Woodl ands State T X Zip: 77381 ( 281 ) 2 y8 - / J3 3Telephone No:

5. Property Owner's Agent D r . D i r k L a u k i e nMailing Address: 2 6 3 5 N o r t h C r e s c e n t R i d g e D r i v eCity: The Woodl ands State T X Zip: 77381 (281 ) 2 9 8 - 7 3 3 3Telephone No:

6. Business Address:[Attach legal description, plat and project site plan illustrating layout and designs for structures, landscaping, signage,parking and internal circulation:]

6 . 8 0 2 A c r e s , J o hn T a y l o r S u r v e y , A - 5 4 7 , T r a c t 1 B - 2

7. Description of Project: P r o d u c t i o n & B i o t e c h n o l o g y C e n t e rT w o S t o r y , a p p r o x i m a t e l y 3 0 , 0 0 0 s q u a r e f e e t

a) Is this an expansion of an existing facility? Y es

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is the property located witmunicipality?

;he boundaries of a Y e sX

Is t. .roperty located within theextraterritorial jurisdiction oTamunicipality?

Y e s

I f Ye s - Name of Municipality:List Taxing Jurisdictions that govern the location of the proposed abatement request:a) GMO - Mon tgom ery Co u n t yb) SCO - C on ro e I S P

f) HM1 - Montgome r y C o un ty H o s p i t

c ) . iNHONnrth H a r r i s Mont . C cd)MWM - Woo dland s Me tr o M . U . D .^) W. P. U n il.

10. Estimated project construction dates: Beginning: 6 / 0 4 Ending: 3 / 0 5

0'

E S T . t, a) Real Property Value: S i t 6 / 2 . 0 4 "Acs $443 /31 0 c) Improvement Value: $ - 0 -b) Personal Property Value: | $ - 0 - d) T O T A L V A L U E : $ 44 3 , 31 0

Property Account N umber(s): 9 7 1 4 - 0 8 - 0 0 2 0 1 C'H/y,*'^ 11. Uses of property and facility: P r o d u c t i o n & B i o t e c h n o l o g y C e n t e r

a) Present use: New B u i l d i n gb) Intended use: T n n n h a t o r f o r n ew p r o d u c t l i n e sc ) Is property currently receiving a reduction in taxable value for special use or exemptions? Y e s

I f Ye s , explain and include estimated $ value reduction: $ None

d) W ill property or improvements qualify for a reduction in taxable value due to special use or exemption? Y e sI f yes, explain and include estimated $ value reduction:

12. What is the total estimated value of the real property and proposed improvements after completion ofthe project? (Include taxable and abated value) $ 2 , 4 4 3 ,

13. What is the estimated value of the fixed machinery, equipment, inventory and personal property that will be on site aftercompletion of the project? Note: Only include property that will not be abated.

Fixed Machinery and Equipment: $ 20KInventory: $ 400KOther Persona! Property (Furniture, etc.) $ 40K

14. What is the economic life of the proposed improvements? 40 Y15. Jobs/Employment:

a) W i ll the project stimulate desirable concentrations of employment of commercial activity?b) W ill the project create or retain germanent jobs in Montgomery County?

NoX

Number of Jobs? 3How many are new jobs? 30 How many are retained jobs?

c) W ill the newly created jobs be filled by persons residing or projected to reside in Montgomery County?d) Estimated Annual Payroll: S 2 m i l l i o n Estimated fiill-time jobs: #3 7 Estimated part-time jo

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16. Will the project make a su ntial contribution to redevelopment efforts e jecial area plans by enhancingeither functional or visual characteristics, e.g., historical structures, traffic circulation, parking facades,materials, signs, etc.? XIf Y es - Describe: T h i s p r o i e c t w i l l c o n t i n u e th e grow th & j ob c r e a t i o n i n t hB i o t e c h , s eg ment of T h e W o od l an ds c o m me r c i a l d i s t r i c t

17. Is the project in an area which might not otherwise be developed because of constraints of topography,ownership patterns, site configuration, etc.? Y e s

I f Yes - Describe:

18. Will the project serve as a prototype and catalyst for other development? XB r u k e r u p L i c s , inc. i i a s e s t a P - L i s u e u a d i s t r l U U L i o n s y s t e m &

IfYes-Explain: P ,l l a h n r a t i V P a g r e e m e n t s w i t h wP .ndnr.=; w o r l d w i d e t h a t may c ht o c o - l o c a t e i n t o T h e W o o d l a n ds r e g i o n .

19. Will costs be incurred by Montgomery County to provide facilities or services directly resulting from the newimprovements?

Y e s

I f Y es - Explain:

20. What are the types and values of public improvements that will result from the project?Type: $ Type: $Type: $ Type: $

21. Will the proposed improvements compete with existing businesses to the detriment of local economy? Y e sI f Y es - Explain:

22. Will the proposed improvements stimulate existing local businesses?IfYes-Explain B r u k e r O p t i c s , I n c . i s u n d e r g o i n g t r e me n d ou s g r o w t h i n a l la r e a s of p e r s o n n e l . Many i o b s w i l l be f i l l e d f r om l o c a l '=xt:enaea& c o m m uni t y

23. I f within an incorporated community's limits or extraterritorial jurisdiction, have you discussed your planswith the municipal administration to determine if there are any ordinances with which you must comply?

This applicant understands that the Montgomery County Commissioners Court will approve or disapprove applicant'srequest for tax abatement, in its sole discretion, based on information contained herein, and on any other information mavailable to the Commissioners Court. Applicant states that the information contained herein is true and correct andcomplete, and if the request is approved, applicant is will ing to execute a tax abatement as required by Montgomery CouIt is further agreed and understood by applicant that the information contained in this application that qualifies asConfidential Information in the Texas Property Tax Code, Chapter 312, Subchapter A, Sec. 312.003, will be reviewed akept confidential by: The Montgomery County Commissioners Court, the Tax Assessor/Collector(s), and the ChiefAppraiser for the Montgomery Central Appraisal District.

Applicant's Printed Name Title

31-Aug-95 Signature

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TAX ABATEMENT AGREEMENT

This Tax Abatement Agreement (this "Agreement") is by and between

Montgomery County, Texas, a political subdivision of the State of Texas (hereinafterreferred to as the "County"), andDr. Dirk D. Laukien, O wn er -L es s or (here inafter referredto as the "Owner") , the owner of certain taxable real property which is located in theMontgomery County Reinvestment Zone, and Bruker Optics, Inc., T ena n t - Lessee(hereinafter referred to as the "Lessee"), the tenant of said taxable real property.

This Agreement is authorized by Resolution andOrder of the Commiss ionersCourt of the County adopted the 24th day of November, 2003, which establ ished theCounty's Tax A batement P olicy for designated properties located in the MontgomeryCounty Reinvestment Zone.

The location of the taxable real property which is the subject of this Agreement(hereinafter referred to as the "P roperty") is on North Crescent Ridqe. TheWoodlands. Texas. The tax account number of the P roperty is: 00.9714.08.00201 (4.73acres of a tract encompassing 6.802 acres). It is understood andagreed that the property

I.

AUTHORIZATION

II.PROPERTY

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ma y be as sign ed a different acc ount numb er by tine M ontgome ry C entral Ap prais al District.

III.OWNER'S REPRESENTATIONS

a. T he O wne r repres ents that it is the owne r in fee simple o f the P rope rty andac kno wled ge s that the P roperty is currently located within the b oun da ries of aR einve stmen t Zo ne . T he O wne r repres ents that the present use of the P rope rty is asfollows: unimproved raw land.

b. T he O wne r rep res ents that no interes t in the P rope rty is held or lea se d bya membe r of the C ommiss ioners C ourt of M ontgome ry C ounty.

IV.TERMS OF THIS AGREEMENT

a. The Owner and/or the Lessee contemplate making the fol lowingimpro veme nts to the P roperty (hereinafter referred to collectively as the "Imp rove men ts"):construction of a 30,000 square foot, two-story building.

b. The Owner and the Lessee further contemplate that the schedule for theconstruction of the Improvements will provide that substantial completion of theImprovements will occur on or about March 31, 2005.

c. C omme ncin g upon comp letion of the Impro veme nts an d con tinuing throughthe remainder of the Ta x A ba teme nt P eriod (as hereinafter define d), the Ow ne r and theL es se e shall use the P roperty for the purpo se of produc tion and biotec hno logy; pro vide d,Ta.x Abalemenl Agrcc mcnl between Monlgoniery C ounlyand Bruker Oplics 4/30/04 Page 2 of 1 1


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how eve r, the C ounty may approve a cha nge of the pro po s ed us e, in writing, if the C ou ntyde termine s that the cha nge is cons istent with the C ou nty's Ta x A ba teme nt P olicy.

d . During the period of construction and upon completion of the Improvements,and continuing through the remainde r of the T ax A ba teme nt P eriod, the O wn er an d theLessee shall maintain the Improvements in good repair and condition during the taxabatement period.

e. T he Ow ner and the Les see shall al low the C ounty's employee s, age nts a ndrepres entatives ac ces s to the P roperty at any rea so nab le time for the purpo se of ins pecting

the Improvements to insure that the Improvements are completed and maintained inaccordance with the terms of this Agreement.

V.TAX ABATEMENT

a. If the O wne r and/or Le ss ee comp lete the Impro veme nts or ca us e theImp rove men ts to be comp leted in ac co rdan ce with the terms of this A gre eme nt, theO wn er s hall be entitled to a tax abateme nt on the additiona l value to the ce rtified full mark etapp rais ed value (value before spec ial use or exe mption s are given) of the P rope rty as ofJ anu ary 1 , 2005 (including both land and impr ove men ts) to the extent the P rope rty'scertified full marke t app rais ed value for that yea r exce ed s the P rope rty's certified full marke t

app rais ed value as of M ay 1, 200 4. T he C oun ty here by represe nts to O wn er that theP rope rty's certified full market appra ise d value as of M ay 1, 200 4, is $1 ,0 30, 19 4.0 0. T histax ab atem en t is granted by official action of C omm is si on ers C ourt, acco rding to theTax Abalemenl Agreement belwecn Montgomery Countyand Bruker Optics 4/30/04 Page 3 of I I


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following sc hed ule, which is set forth in the C oun ty's Tax A ba teme nt P olicy:

Y ear of A batement P ercentage of T axes A bated

2005200620072008200920102011

100% (construction)100%100%

8 0 %6 0 %4 0%2 0%

A s use d herein, the term "Tax A ba teme nt P eriod " shall mean the period

co mmenc ing on J anuary 1, 2005 , and shall continue through and expire on Dec embe r 3 1 ,2011.

b. W ith res pect to eac h calendar year during the T ax Ab ate men t P eriod, theab atem en t herein gra nted shall app ly to the exten t that the P rop erty's ce rtified full marke tappraised value (including land, buildings, structures, fixed machinery and equipment andsite improve men ts) for that calen dar year excee ds the P rope rty's certified full marketappraised value (including land, buildings, structures, fixed machinery and equipment andsite impro veme nts) as of M ay 1, 200 4. T he P roperty's certified full marke t app rais ed value(including land, buildings, structures, fixed machinery and equipment and siteimprove ments ) shall be that as determined on the rolls of the Mo ntgo mery C oun tyA pprais al Disthct. T he tax ab ateme nt herein gran ted shall be effective with the J anu ary 1

valuation date immediately following the date this Agreement is executed by all parties.

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VI.REPORTING REQUIREMENTS

Be ginning J uly 1, 20 05 , the O wne r or the L es se e shall provide se mi-a nnu al writtenreports to the C oun ty during the term of this A gre eme nt, du e on J anu ary 1 and J uly 1 ofeac h year. T he reports shall be su bmitted to the C omm is s ion er of the C ou nty P recinct inwhich the P roperty is loca ted, and the C ounty T ax A ss es so r-C ollec tor, an d shall contain thefollowing information:

a. The status of completion of the Improvements;

b. The minimum and maximum number of persons employed by Owner andL es see and/or its affiliates that ac tually office at the P rop erty, du ring ea ch o f the six (6)months preceding the report;

b. T he increa se in valuation of the P roperty during the previous year;d . T he status of the use of the P roperty during the six (6) mon ths p rece ding the

report;e. A ny chan ge in the identity of principals of the O wn er , or in finan cia l s tatus

of the O wne r and their principals , or any other chang e of information rega rding the O wn ercontained in this Tax A bateme nt Agre emen t or the T ax Ab ateme nt Applica tion comple tedby the Owner; exc ept for cha nge s that affect less than 10 % of the owne rs hip of the O wne r;and

f. Any other information as reasonably requested in writing by theC ommis sio ner of the C oun ty P recinct in which the P roperty is loca ted, by the C oun ty J udgeor by the County Tax Assessor-Collector.Tax Abalemenl Agreement between Montgomery Counlyand Bruker Optics 4/30/04 Page 5 of 11


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O wne r and L es se e shall further provide to C oun ty, upon written reques t, anysupporting documentation and information deemed reasonably necessary by the County toinsure Owner's and Lessee's compliance with this Tax Abatement Agreement, including,but not limited to, payroll reco rds , updated financial s tateme nts , empl oye e pers onn elrecords, and loan or financing reco rds and docume ntation. H owe ver, suc h information maybe deemed confidential by law, and upon request by Owner or Lessee, such confidentialinformation may be mad e availa ble for C ounty's review in the office s of O wn er whic h arelocated in M ontgome ry C ou nty.

VII.EVENT OF DEFAULT

The County may declare a default upon the occurrence of any one or more ofthe following circumstances:

a. A t any time after co ns truction is co mple ted an d du ring the rem ain de r of theTa x A batement P eriod, the numb er of perso ns employed by Ow ner and /or L ess ee or itsaffiliates that actually office at the P roperty sha ll fall be low twen ty- on e (21 ) F ull-T imeEquivalents (as hereinafter defined) for a pehod in excess of thirty (30) days, or more thanfive (5) times during the term of the T ax A ba temen t P eriod. A s us ed he rein, "Full TimeE quivalent" shall mean a level of effort exclud ing vacation and o ther non prod uctive time,

equivalent to that which would be provided by one person working full time, which shall bedeemed to equal 1830 billable person hours of effort on an annualized basis;

b. S hould cons truction of improvemen ts not proceed as plann ed, enda ngeringTax Abalemenl Agreement between Monlgoniery Countyand Bruker Opties 4/30/04 Page 6 of 1 1

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the agre ed substantial increase in C oun ty T ax Re venu e, in the opin ion of C omm is si on ersCourt;

c. At any time during the Ta x A ba teme nt P eriod, the O wn er or Le ss ee fails,refuses or neglects to comply with any of the terms of this Agreement;

d . At any time during the T ax A ba temen t P eriod, any repres entation or wa rrantymade by the Owner or Lessee in this Agreement is or becomes false or misleading in anymaterial respect.

e. A t any time during the T ax A ba teme nt P eriod, the O wn er or L es se e a ppliesfor and receives any form of tax exemption on any type of personal property or inventorypro duce d, store d or maintained at the site of this P rope rty (inc ludi ng, but not limited to, afreep ort or pollution control exe mption ), exclusive of tax exe mption s for F ede ral Inc omeTaxes or Excise Taxes; or

f. T he improvemen ts are not sub stantially comple ted by Ma rch 3 1 , 20 05 .If the C ounty dec lares the O wn er or the Le ss ee in defau lt of this A gree me nt, this

Agreement shall terminate unless cured in accordance with the follov^ing paragraph of thisS ec tion VI I, and the County shall be entitled to rec ap ture any pro pe rty tax wh ich ha s bee nabated as a result of this Agreement.

T he C oun ty shall notify the O wn er an d the L es se e of the de fau lt by giving w rittennotice to the Owner and the Lessee, which notice shall specify the basis for the declaration

of defa ult. T he O wne r and the L es see shall hav e thirty (30) da ys fro m the da te of thenotice to cure the default. If the Own er an d/o r the Le ss ee pro ceed diligen tly, but fail to curethe defa ult within the thirty (30) da y pe riod , the C oun ty may , at the op tion o fTax Abalemenl Agreement between Montgomery Countyand Bruker Oplics 4/30/04 Page 7 o f l 1


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C omm is s ion ers C ourt, extend the time for curing the default for a se co nd thirty (30) dayperiod, so long as the Owner and/or the Lessee commence to cure such default within theinitial thirty (30) day period and purs ue such cu re to co mple tion . T he C o un ty is und er noob ligation to extend the peho d for curin g any defa ult. If the circ ums tanc es of de fault arenot cure d to the C ounty's satisfaction, this A gre eme nt may at the C ou nty's dis cretion b efinally dec lared in defau lt, and the C ounty sha ll be entitled to reca pture a ny pro pe rty taxwhich has been abated as a result of this Agreement.

VIII.NOTICE

All notices shall be in writing, and delivered by certified mail, return receiptrequested, or by hand-delivery with written receipt, to the following address:

T o the O wner/L es se e: Dr. Dirk D. L aukien,c/o Sean Quinn2635 North Crescent Ridge DhveThe Woodlands, Texas 77381

T o the C ounty: C ounty Tax As ses sor-C ol lector400 N. S an J acintoConroe, Texas 77301

A ll notices shall be deem ed given u pon dep os it in the United S tates mail or uponrece ipt of han d-delivery. E ither party ma y des ignate a different add res s by giving the otherparty ten (10) days' written notice.

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IX.CONDITION

T his A gre eme nt is cond itione d entirely upo n the app roval of C omm is si on ersCourt by the affirmative vote of a majohty of the members at a regularly scheduled meeting.

X.TEXAS LAW

This Agreement shall be governed and construed according to the laws of the State

of Texas.XI.

ASSIGNMENTUnder no circumstances shall this Agreement or the tax abatement granted herein

be as sig ned by the Ow ner or the L ess ee without the prior written con se nt of the C oun ty.

XII.INDEMNIFICATION

OWNER AND THE LESSEE, COLLECTIVELY AND INDIVIDUALLY, AGR EE TODEFEND AND INDEMNIFY THE COUNTY FROM AND AGAINST ALL CLAIMS,DEMANDS, DAMAGES, LOSSES, AND EXPENSES, INCLUDING COURT COSTS ANDRE ASONABLE ATTORNE Y'S FEES, AND ALL LOSS, DAMAGE OR INJ URY, ORDEATH RESULTING THEREFROM, TO OWNER'S OR LESSEE'S PROPERTY ORPERSONNEL, THIRD PERSONS OR THE PROPERTY OR PERSONNEL OF AGENTS,Ta.x Abalemenl Agreemenl between Montgomery Counlyand Bruker Optics 4/30/04 Page 9 of 1 1


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EMPLOYEES OR CONTRACTORS OF OWNER OR LESSEE ARISING OUT OF OR INCONNECTION WITH AND DURING THE OPERATIONS UNDER THIS AGREEMENT.

EXECUTED this 10th day of May, 2004.

Alan 'B. SadlerC ounty J udge

Mike MeadorC ommissioner, P recinct 1

C raig Do yal ^C ommissioner, P recinct 2

1

ATTEST:

Mark TurnbullCounty Clerk

Ed ChanceC ommissioner, P recinct 3

Ed'RinehartC ommissioner, P recinct 4

PROPERTYpWfrgER:DF DIR K D.jLAUKIEN,

Drf! LJ irk D. L aukie n

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LESSEE:BRUKER Cj)PTICS,,INC. .\

By: / 'J onathan D. Hitchcock,' freasurer/Control ier

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MONTGOMERY COUNTYomcEOF :TAX ASSESSOR AND COLLECTOR

400 N.SANJACINTO *CONROE, TEXAS 77301

T A X C O L L E C T I O N 936.539-7897AGGOUNTING 936-539-78MAU TO LICENSE DEPT. 936-S39-7896

Apri l 26, 2010TO: MA RK CA STLESCl lOU LDT , CHIEF APPIIAISER - M C A DFRO M: J.R. MO OR E, JR., V IA E M A I LRE: POSSIBLEO M IT T E D PROPERIY;RESIDENTIAL DWEL LING USED B Y DIRKmD K A Y E L A U K I E N FOR THEIR RESIDENCE IN THE WOODLANDS;

PROPERTY ACCT#S: 00.9714.08.0020],00.9714.08.00202,00.9714.08.00203,

A N D 00.9714.08.00204Dear M r, Ca.stleschoudt,

}R. MOORE, JR.TAX ASSESSOaA N D COLlEaOR

Please verify that the Bruker Gptic I and I I tax abatements do notinciude aresidenlial home that hastaxes abated.In addition to this request I am now requesting that i f in fact tliere is a residential home on or nearthe property used by Dean and Kate Laukien that you identify the property account assigned to it.Best regards,

J.R. Moore, .Ir. ,

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T A X S T A T E M E N T FOR C O L L E C T I O N O F F I C E OF M O N T G O M E R Y C O U N T Y RUN ON 04 .2 6. 20 10A S OF Ap r OF 20 10A C C O U N T N U M B E R /OoT97l4 . 0 8^_00^^^L E G A L D E S C l S^^TDfCW^ Wl^NDS R E S E A R C HL E G A L D E S C 2 F O R E S T 08, RE S B, A C R E S 2. L A U K I E N , D I R K

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Ths document/data was prepared for use by theMontgomefy Centra Apprasa Dstrict ony. TheMontgomery Central Appraisal Dstrictdoes not guaranteeorwarranttheaccuracy of thedocument/data. THERE IS NO WARWTY OFANY KND EXPRESSED OR IMPUED ANDSPECFCALLY THERE IS NO WARRANT OFMRCHANTABUTYOROFFTNESS

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2635 Technology Forrest Drive Tax Abatement

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